The Compton native began his show with the fitting shout out to his coast, "Westside, Right On Time." "Y'all motherf--kers ready to party tonight?" K. Dot asked the bikini-clad crowd. Wearing a polo shirt peppered with birds and camouflage pants, the rapper then went into his bouncy jazz track "Hol' Up." The reigning Hottest MC in the Game did well to balance new tracks from his critically -acclaimed LP good kid, m.A.A.d city and his pre-Dr. Dre underground cuts like 2009's "P&P."

"Anybody been listening to me since day one?" he asked the crowd, who responded with great enthusiasm.

Kendrick kicked things up several notches with his guest verse from A$AP Rocky's "F--kin' Problems," which the audience helped him perform, and kept things turned up with his bars from Young Jeezy's "R.I.P." remix. Kendrick got contemplative for a moment with "A.D.H.D." and stressed the importance of his 2011 independent album Section 80, which he says helped get him where he is today.

At the end of the show Kendrick came full circle with music from his latest album by delivering the crowd the pounding "Backseat Freestyle" and his multisyllabic lyric-fest "Bitch, Don't Kill My Vibe."

The Hangout Music Festival, taking place in Gulf Shores, Alabama, features acts from a variety of genres. Public Enemy rocked the stage today as did The Roots. Yesterday, Macklemore and Ryan Lewis brought Seattle flavor to the beachfront concert. Tomorrow, acts like Imagine Dragons and singer Ellie Goulding are expected to hit the stage. Fans have been especially excited for Kendrick's set. "To everyone at The Hangout seeing Kendrick Lamar perform today: soak it up because your life only goes downhill from here," tweeted one concert-goer as another added: "Kendrick Lamar is killing it."

MTV, VH1 and CMT are live from Hangout 2013, bringing you all the latest news, interviews, performances and more from the Shores. If you're not able to be there, be sure to check in and watch live streaming performances all weekend.